Microsoft Stock Slips As Xbox Game Pass Ultimate Price Jumps 50%
This article first appeared on GuruFocus.
Oct 1 – Microsoft (NASDAQ:MSFT) shares fell about 1% on Wednesday morning after the company raised the price of its Xbox Game Pass Ultimate subscription.
The monthly cost jumped 50% to $29.99 from $19.99, effective immediately. Investors reacted cautiously as higher costs may weigh on subscriber growth, despite added features.
Ultimate members will now have access to more than 400 games, over 75 day-one releases each year, improved streaming quality up to 1440p, and a new rewards program. Microsoft also added 45 new titles on launch day.
The company said it is consolidating its tiers by folding Core into Essential and shifting Standard members to Premium, while leaving Essential…
